Is Merit Medical Systems, Inc. overvalued or undervalued?

As of 24 April 2025, the valuation grade for Merit Medical Systems, Inc. has moved from fair to expensive, indicating that the company is overvalued. The current P/E ratio stands at 42, significantly higher than the industry average, while the EV to EBITDA ratio is 20.38, which also suggests a premium valuation. Additionally, the PEG ratio of 2.12 further reinforces this overvaluation perspective.
In comparison to peers, Lantheus Holdings, Inc. has a P/E ratio of 14.54 and an EV to EBITDA of 9.83, both indicating a more attractive valuation. Haemonetics Corp. also presents a more favorable valuation with a P/E of 21.73 and an EV to EBITDA of 12.83. While Merit Medical has shown a positive return of 12.30% over the past year compared to the S&P 500's 10.26%, the current valuation metrics suggest that the stock is not justified at its current price of 92.32.